...Stable Rating Outlook: Fitch Ratings considers the German non-life insurance sector to be well prepared to meet the challenges that it faces, and does not foresee a significant number of rating changes over the next 12-24 months. Fundamentals Stable on Balance: The market benefits from strong underwriting profitability, which is partly offset by decreasing investment income from persisting low investment yields. Strong Capitalisation: Fitch forecasts that German non-life insurers will maintain strong levels of capitalisation at end-2015 and end-2016. We believe the sector is well prepared to the meet the new Solvency 2 regulatory capital requirements, which come into force on 1 January 2016. However, the reported regulatory ratios are likely to be lower than the high levels reported under the old regime. Slower Premium Growth Expected: Fitch expects growth in German non-life premiums of 2% for 2016 and 1% for 2017. This follows exceptionally strong annual growth of more than 4% in each...
